Real Estate Investments

"Compounding," Albert Einstein said, "is mankind's greatest invention because it allows for the reliable, systematic accumulation of wealth."  Einstein was a smart man.  But you hardly have to be a genius to make this concept work for you.

In the past few years more and more of my business has come from people interested in making secure investments in real estate.  The stock market's volatility has sent many looking elsewhere for a safe place to deposit cash.  With bank CD rates being so low an increasing number of people are looking at Real Estate.

While Wall Street and the financial magazines praise money managers that are producing yields of 6 and 7 percent, my clients has been enjoying yields that are far better.    Today's real estate market presents many excellent opportunitites to make wise investment purchases of prime waterfront locations at reduced prices.   I have twenty years of experience in the Sarasota market and can help you uncover the best and most profitable opportunities.

A Few Statistics Effecting Real Estate Values 

• The number of Boomers attaining the age of 55 will continue to grow over the next 10-15 years. See the statistics!
• 72% are empty-nesters or will be empty-nesters within the next 10 years (Fannie Mae, 1998)
• 80% say they plan to work at least part time during their retirement and 35% say they will be working part-time mainly for the sake of interest and enjoyment (AARP)
• 23% expect to receive an inheritance that will affect their retirement planning (AARP)
• Only 35% expect they will have to scale back their lifestyle during retirement (AARP)
• 73% say they expect to have a hobby or special interest to which they will dedicate a lot of time when they are retired (AARP)
• 57% expect to live near at least one of their children (AARP)
• The number of 45+ who are online will grow from 19MM in 1999 to 35MM in 2002 - a 94% increase (USA Today)

General Housing

• Second home buyers have a median age of 43 years - four years older than average homebuyer (NAR)
• 43% of Boomers plan to move during retirement (Del Webb)
• 39% plan an out of state move (Del Webb)
• Top 3 destinations mentioned: Arizona, Florida, North Carolina (Professional Builder)
• 24% said economic factors would determine the location of their new home (Professional Builder)
• 79% own their own homes (Age Wave)
• 67% are mortgage free (Age Wave)
• 60% of 50+ have re-modeled their home (Age Wave)
• Among those who will purchase a new home, 38% say they will purchase a home of comparable value to their first one, 29% say they will purchase a more expensive one (Fannie Mae)
• 45% say a reverse mortgage is very or somewhat appealing (Fannie Mae)

Financial 

• Boomers comprise 26% of the population, but control 74% of personal financial assets and 50% of discretionary income
• 34% of Boomers have $100,000 or more invested in 401(k), 23% have between $50K-$99,999 (Scudder Kemper Investments)
• 68% say they can count on self-directed sources of income such as IRAs and 401(k)s during retirement (AARP)
• Per capita income of 50+ segment is 26% higher than general population (ThirdAge)
• Boomers online have an annual average household income of $60K compared to $38K for younger users (Third Age)
• 24% of 50-to-64 year olds say they use the Internet most often for investing purposes (Baruch-Collete Harris, 1997)

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